PUCHONG, Feb 20 — A syndicate involved in the misappropriation of subsidised liquefied petroleum gas (LPG) was found using a new tactic — using bonded trucks as transfer points to siphon subsidised 14kg LPG into non-subsidised 50kg barrels — before selling them at lower prices to the industrial sector.
This was uncovered during a raid conducted by the Domestic Trade and Cost of Living Ministry's (KPDN) Selangor enforcement division and the police at a premises in Taman Meranti Permai, Puchong, at 11pm yesterday.
Selangor KPDN director Mohd Zuhairi Mat Radey said the raid was carried out after a month of intelligence gathering, which found that the premises were a licensed LPG wholesaler that had been operating for one to two years as a supplier and distributor.
During the raid, enforcement officers discovered equipment like hoses and barrels filled with ice, believed to be used in the illegal LPG transfer process.
“Based on the equipment found, we suspect that the premises is selling LPG 50kg containing subsidized LPG to the industry at a lower price which is around RM190 compared to the actual price according to the market which is RM220.
“More than 4,000 LPG barrels of various brands with a capacity of 14kg and 50kg were seized, as well as 17 lorries, decanting equipment and some business documents for further investigation.
"The total value of the seized items amounted to RM1.6 million,” he told a press conference at the scene today.
Zuhairi added that the syndicate's new modus operandi involves using three subsidised 14 kg LPG barrels to transfer gas into a single non-subsidized 50 kg LPG barrel. It is estimated that between 100 to 300 units of 50 kg LPG barrels could be produced daily.
"Each 14 kg LPG barrel takes at least 15 minutes to transfer, meaning a total of 45 minutes is needed to fill one 50 kg LPG barrel.
"This tactic is designed to evade detection by authorities, as the transfer process takes place inside a bonded lorry. The syndicate also uses a conventional method involving ice to further compress the gas," he said.
21 men were detained during the raid. Four of them, who included the owner of the premises, were released later released on police bail.
The others, all foreigners, are detained to facilitate the investigation.
— Bernama
